Senate File 2106 - Introduced SENATE FILE 2106 BY SODDERS A BILL FOR An Act relating to revocation of the registration of a motor 1 vehicle driven by a person whose driver’s license is 2 suspended, revoked, barred, or canceled. 3 BE IT ENACTED BY THE GENERAL ASSEMBLY OF THE STATE OF IOWA: 4 TLSB 5567XS (2) 83 dea/nh

S.F. 2106 Section 1. NEW SECTION . 321.218B Driving while license is 1 suspended, revoked, barred, or canceled —— revocation of vehicle 2 registration. 3 1. If a peace officer stops a motor vehicle driven by a 4 person whose driver’s license is suspended, revoked, barred, 5 or canceled and the motor vehicle is registered to the driver, 6 the peace officer shall immediately remove the motor vehicle's 7 registration plates and registration receipt and impound the 8 motor vehicle. The peace officer shall deliver the plates for 9 destruction, as appropriate; forward the registration receipt, 10 if available, to the department; and notify the department of 11 the vehicle’s impoundment. 12 2. Upon verifying that the registered owner of the motor 13 vehicle is a person whose Iowa driver’s license is suspended, 14 revoked, barred, or canceled, the department shall revoke the 15 registration of the motor vehicle. 16 3. Upon payment of a fifteen dollar administrative fee to 17 the county treasurer of the owner’s county of residence and 18 providing proof of financial liability coverage as required 19 under section 321.20B to the county treasurer, the treasurer 20 shall issue new registration plates and registration to the 21 owner of the motor vehicle. 22 4. A motor vehicle which is impounded may be claimed on 23 behalf of the owner by a person with a valid driver’s license 24 if the owner provides proof of registration of the vehicle 25 pursuant to subsection 3 and pays the costs of towing and 26 storage for the motor vehicle. If the motor vehicle is not 27 claimed within thirty days after impoundment, the motor vehicle 28 may be treated as an abandoned vehicle pursuant to section 29 321.89. 30 5. The holder of a security interest in a motor vehicle 31 which is impounded pursuant to this section shall be notified 32 of the impoundment within seventy-two hours of the impoundment 33 of the motor vehicle and shall have the right to claim the 34 motor vehicle upon the payment of all fees. However, if the 35 -1- LSB 5567XS (2) 83 dea/nh 1/ 3

S.F. 2106 value of the vehicle is less than the security interest, all 1 fees shall be divided equally between the lienholder and the 2 political subdivision impounding the vehicle. 3 EXPLANATION 4 This bill addresses certain motor vehicle owners who operate 5 a motor vehicle while their driver’s license is suspended, 6 revoked, barred, or canceled. 7 The bill requires a peace officer who stops a motor vehicle 8 driven by a person who is the owner of the vehicle and whose 9 driver’s license is suspended, revoked, canceled, or barred 10 to remove the motor vehicle’s registration plates and receipt 11 and impound the vehicle. The peace officer is to deliver the 12 plates for destruction and forward the registration receipt 13 to the department of transportation along with notice of the 14 impoundment of the vehicle. After verifying that the owner of 15 the vehicle is a person whose driver’s license is sanctioned, 16 the department shall revoke the registration of the motor 17 vehicle. 18 The owner of the motor vehicle may obtain a new registration 19 and registration plates for the vehicle by showing proof of 20 financial liability coverage to the county treasurer of the 21 owner’s county of residence and paying a $15 administrative fee 22 to the county treasurer. Once a new registration is obtained, 23 the impounded motor vehicle may be reclaimed by a person with 24 a valid driver’s license on behalf of the owner. Proof of the 25 new registration and payment of the costs of towing and storage 26 are required in order to claim the vehicle. The owner has 30 27 days in which to claim the impounded vehicle before it may be 28 treated as an abandoned vehicle. 29 The bill specifies that a person with a security interest 30 in the vehicle is to be notified of the impoundment within 31 72 hours of the impoundment. The lienholder has the right 32 to claim the motor vehicle upon payment of all fees. If the 33 value of the vehicle is less than the security interest, the 34 fees are to be split between the lienholder and the political 35 -2- LSB 5567XS (2) 83 dea/nh 2/ 3

S.F. 2106 subdivision impounding the vehicle. 1 -3- LSB 5567XS (2) 83 dea/nh 3/ 3